You are part of a local community theater group. Its goal is to raise as much revenue as possible. Mary suggests raising ticket prices. Is she right?
a. yes if the demand for tickets is price inelastic
b. no if the demand for tickets is price inelastic
c. yes because raising prices always increases revenue
d. no because raising prices reduces sales and revenue
e. most likely because the demand curve for theater tickets is typically inelastic
A
You might also like to view...
The unemployment rate measures the percentage of
A) people who want full-time jobs, but can't find them. B) the working-age population who can't find a job. C) people in the labor force who can't find a job. D) the working-age population that can't find a full-time job. E) employed people who can't find a job.
The supply curve for a perfectly competitive firm is the portion of its marginal cost curve that lies above the average variable cost curve
Indicate whether the statement is true or false